The Your
Sep 16, 2026
HyperLocal Loop
The Your

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Abbott agrees to $385 million settlement over Michigan baby formula plant closure

Abbott Laboratories announced Monday that it will pay $385 million to resolve a series of lawsuits stemming from the 2022 recall of infant formula at its Sturgis, Michigan plant – the largest baby formula facility in the United States.

Background on the 2022 recall

In early 2022, the Food and Drug Administration launched an investigation after contamination concerns surfaced at the Sturgis factory. The agency’s actions prompted the Justice Department to file a lawsuit and led Abbott to recall several infant formula brands, including Similac. The recall strained an already‑tight supply chain that had been disrupted by COVID‑19 shutdowns and stockpiling by families.

Settlement details

The $385 million settlement covers claims brought by the Justice Department, a group of private relators, and the attorneys general of several states. Abbott emphasized that the agreement does not constitute an admission of fault or liability. The company also reported that government‑conducted tests of unopened formula from homes of infants affected by the 2022 recall were negative for Cronobacter sakazakii, a bacterium that can cause serious illness in infants. Abbott added that no unopened, distributed Abbott infant formulas have ever tested positive for the bacterium.

Federal response and policy actions

President Donald Trump’s administration closed the criminal investigation into the matter, signaling confidence that the issue had been adequately addressed. In the months that followed, the Biden administration took steps to mitigate the nationwide formula shortage, including easing import rules for foreign manufacturers, airlifting formula from Europe, and invoking emergency rules to prioritize U.S. production.

Impact on Michigan and the nation

The Sturgis plant was shut down in February 2022 after the FDA began its probe, but it reopened by June of that year, helping to restore some supply. The settlement provides significant financial resources that can be used to support affected families and to reinforce safety protocols across the infant formula industry.

What this means for consumers

Parents can take reassurance from Abbott’s statement that all tested, unopened formula batches have been free of harmful bacteria. The settlement also underscores the importance of vigilant regulatory oversight and swift government action to protect the health of the nation’s youngest citizens.

Looking ahead

While the settlement resolves the current legal disputes, it also highlights the need for continued vigilance in the production and distribution of infant nutrition products. Industry observers note that the episode may prompt tighter quality‑control standards and greater transparency for manufacturers nationwide.


Original reporting: Alexandria, VA News – WTOP News — read the source article.

OBBM Network Editorial Staff

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Editorial team behind OBBM Network — independent, hyper-local journalism syndicated through HyperLocalLoop and OBBM Network TV.

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